Government savings notes distributed for EUR 3.3 million

The distribution of the eighth issue Government savings notes (GSN) ended on Monday, where residents purchased GSN for EUR 3.3 million and 186 transactions were made. Residents will be paid 3.3 per cent of annual interest on this new one-year GSN issue.

After renewal of GSN distribution this year, residents could purchase the eighth issue GSN on 4-18 March. The redemption of this issue will be on 19 March 2025. GSN are distributed via dealers selected by the Ministry of Finance – Swedbank and SEB banks.

During the aforementioned period, Swedbank concluded 136 agreements to purchase GSN in the amount of EUR 2.5 million, while SEB – 50 agreements for EUR 0.8 million.

Preliminary schedule for GSN issue foresees to distribute the ninth issue on 8-22 April to be redeemed on 23 April 2025. The schedule is updated on monthly basis and published on the website of the Ministry of Finance.

The GSN interest rates are set for each issue individually, taking into account the appropriate term average Government borrowing rate on behalf of the State. GSN interest rates are fixed no later than one working day before the start of placement of savings notes and published together with other GSN issue distribution terms and conditions on the website of the Ministry of Finance

The GSNs are the Government securities to be purchased solely by natural persons. It is a safe investment that generates returns, similar to term deposits with a commercial bank, only in this case the residents would entrust their savings to the Government. In turn, the GSNs is an opportunity for the Government to form one more borrowing instrument – to borrow from residents directly and thus attract the residents’ savings not invested elsewhere.

Anyone willing to purchase GSNs during their emission will be able to do so via the distributors chosen by the Ministry of Finance, Swedbank or SEB, on their online bank with a few clicks of buttons. SEB will make it possible to purchase GSNs in bank branches as well (more information is available here and here).

When the time comes to redeem the GSNs, the investor will not have to do anything – the money for the redeemed GSNs and the interest due will be automatically transferred to the same account from which the payment for the purchased GSNs was made.

Frequently asked questions about GSNs are available here.